(Kitco News) - Markets will be roiled next year by a new “world disorder”, the likes of which we’ve never seen before, this according to Gerald Celente, publisher of The Trends Journal.
“People are up in arms, the world’s on fire, and what’s it all about, mostly? Income inequality, corruption, violence, I’ve never seen anything like this before. It’s the new world disorder,” Celente told Kitco News.
Celente noted that things are only going to get worse because no one, including the governments, know how to deal with this, resulting in what he predicts will be an increase in violence and crime rates.
With so much geopolitical turbulence, and people taking to the streets in numbers never seen before, Celente said that equities markets are not being propped up by good economic fundamentals, but rather, by monetary policy.
“[The Federal Reserve] has already dumped in $3 trillion [into the repo markets] and it’s not going to the banks, it’s going to the trading houses. These people are addicts, they need their money to gamble, and the Federal Reserve are the junkies that are giving the money junkies what they want,” he said.
Around the world, real estate markets will likely take a hit as the economy slows, Celente added.
“Hey, it’s great to buy real estate in Vancouver, what about Melbourne? Why don’t you go to Sydney? All these places are overvalued as the economies slow down, real estate prices are going down,” he said, adding that the big cities in America are all overfilled.
A correction in real estate will affect foreign countries first, and then hit the U.S. in 2021, Celente said.
On the presidential elections in 2020, Celente said that Donald Trump will likely win by default.
“It’s either the default or the Democrats,” he said. “They haven’t put up a candidate to can beat him.”